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The following standards for variable manufacturing overhead have been established for a company that makes only one product:
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Standard hours per unit of output | | 6.0 | hours |
Standard variable overhead rate | $ | 12.40 | per hour |
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The following data pertain to operations for the last month:
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Actual hours | | 2,600 | hours |
Actual total variable manufacturing overhead cost | $ | 32,870 | |
Actual output | | 250 | units |
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What is the variable overhead efficiency variance for the month?
Multiple Choice
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$14,270 U
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$13,640 U
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$630 U
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$18,600 F
Answer & Explanation
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